The custom app development costs are variable as it depends upon the development scope. Therefore, it is a challenge to accurately estimate the total development cost and the time required to deliver it.  

The app development cost estimation is quite tricky since all projects are different. In addition, each Project is different in what it tries to achieve in the end. Therefore, the application development cost may range between $10,000 to $200,000 depending upon factors such as UI/UX design, prototyping, the development company’s location, the developers’ hourly rate, and more.  

In simple words, the overall complexity of the software will be the most important factor that will define the cost of custom software development

The use of custom applications is not just limited to business organizations. It is now a viable option to meet the needs of many sectors, such as healthcare, hospitality, supply chain, and more. Custom application development has many advantages, such as fitting your specific needs. However, given its unique ability, it can be costly.

In this blog, we will cover the various aspects that surround custom app development costs. Therefore, this blog is like an all-inclusive guide to help estimate the average cost of building an app in 2023 and the factors that should be considered when making the calculation.

What is Custom App Development?

Custom app development is a process wherein an enterprise software development company indulges in designing, creating, deploying, and maintaining apps per the client’s specific set of requirements. 

Unlike off-the-shelf applications, custom app development focuses on a narrowly defined set of requirements. The off-the-shelf software solutions are targeted at meeting broad requirements, allowing them to be commercially marketed and sold.  

Custom apps meet specific needs. Some important example of app development are as follows –  

  • POS technology,
  • Bug tracking apps,
  • Banking services,
  • Streaming services,
  • HealthTeach application,
  • Streaming services and more

Custom app development is carried out by in-house or outsourced development teams. The custom app development process also passes through requirements gathering, code construction, testing, and deployment. It uses Agile, DevOps, or Rapid Application Development methodologies and more.

Requirements for Estimating Custom App Development Cost

A professional application development company can help you estimate the total cost to develop the app, from underlining the project goals to defining the monetization plans. However, there are certain prerequisites that need to be talked about before you estimate the price. The prerequisites have been lifted below –

  1. The Goal of the Project: 
    • The first step that should be taken by a software development company should be to explain the project goals during the initial stakeholder conversation. 
    • Giving all necessary stakeholders a clear understanding of the end objective helps design apps worth the effort and cost. Also, well-defined goals help in cost optimization.   
  1. Target Audience:
    • The target audience refers to the people interested in your services or products. A dedicated software development team must define the audience to conduct a more in-depth competition analysis, market research, and study the latest trends. 
    • A better understanding of the target audience will ultimately affect the typical app development cost.
  1. Type of Software:
    • The type of custom app directly impacts the app development project costs. The number of features in apps defines the features and complexity of development. 
    • This directly affects the time and cost associated with the cost of app development.
  1. User Journey: 
    • Determining a user’s journey through your software is one of the important prerequisites.
    • In addition, a customer-oriented journey map helps visualize the overall flow of the development, which helps estimate the rough cost of custom application development.

Factors Influencing the Custom Application Development Costs

There are numerous factors that affect the cost of software development projects. However, accessing the factors that impact the overall development cost for apps is quite an impossible, significant role in estimating the overall expenditure behind your software development. Assessing the amount of investment your Project might need is quite impossible cost of building an app.

  • Type of App Development Project:
    • Custom app development projects are of different types. It can be broken down into the following:
      • New App Development 
      • Application Modification
      • App Integration
      • Web Development
  • The cost of custom software development services for each Project depends upon the makeup and requirement of additional development efforts. 
  • Understanding the type of application development required comes in handy while estimating team size, duration, the technology required, and more. This helps in the accurate estimation of the total cost of development.
  • Size of the Project:
    • The project size is correlated to the features and functionalities of the product you are building. Therefore, the complexity of the project is determined by the size of the it
      • Small-Sized Projects – These projects involve minor changes to the existing code. It involves bug fixes, tweaks to the user interface, and more. 
      • Medium Size Projects – The engagements are more substantial. Medium-sized App development deals with a single source of data. It includes projects such as enhancing the web interface, upgrading the UI/UX interface, and more.
      • Large Size Project – These are in-depth projects that ask for a broad database, integrating multiple systems, and addressing logging and security features.
  • The Size of the Team:
    • Apart from the type and size of the Project, the size of the team is another important factor to be considered while estimating custom app development cost. 
    • The custom app development team can have different experts per the Project’s requirements. A development team can have a mix of the following –
      • Developer
      • Project Manager
      • QA Tester
      • UI/UX designer
      • Database expert
      • Business analyst
  • The cost of hiring app developers, coupled with the cost of a suitable manager along with the QA team and other experts, has a comprehensive impact on the cost of custom application development. 

Checkout our Success Story: Online Restaurant Reservation System Case Study


If you are also asking how to choose an app development company? The blog could have helped you to understand the factors and prerequisites to understand the cost of software development. 

It is difficult for top custom app development companies to estimate app costs. This is because the cost of each Project varies on various factors, many of which are uncontrollable. 

The key is paying attention to the details rather than just giving the clients a general sense of things. Understanding the above factors and requirements for estimation will help define the cost range of custom app development.

Contact us today for a FREE CONSULTATION.